About the Calculator
Calculate your TikTok Shop ROI and return on ad spend (ROAS)—including all fees and costs—so you can optimize your advertising budget and maximize profit per dollar spent.
Want to sell the most profitable products?
Try SimpTok free →
TikTok Shop ROI Calculator
Wondering “is my TikTok advertising profitable?” Enter your ad spend and sales to discover your exact ROI, ROAS, and profit after marketing costs—instantly.
ROI
190%
ROAS
4.00
Net Profit After Ads
$181.20
Running TikTok Shop ads without tracking ROI is like spending money blindfolded. This TikTok Shop ROI calculator shows your real return on ad spend (ROAS), profit after marketing costs, and whether your advertising is actually profitable. Many sellers focus on revenue but ignore that high ad costs can turn profitable products into money losers.
Key Insight: A 4:1 ROAS means you get $4 in revenue for every $1 spent on ads. But after TikTok Shop fees and product costs, your actual profit might be much lower.
Want a more powerful one for free?
Access a more powerful version of this calculator in our free application. Our mission is to make TikTok Shop analytics accessible and free for everyone.
How It Works
Our calculator analyzes your TikTok Shop advertising performance using industry-standard metrics. This process helps you optimize ad spend, compare campaign performance, and ensure every dollar spent drives profitable growth. Here’s how:
Enter Your Ad Spend and Revenue
Input your total advertising costs and the revenue those ads generated. Include all TikTok advertising costs: Spark Ads, TopView, In-Feed ads, and influencer partnerships.
Add Product Costs and Fees
Include your product costs and any additional fees like shipping or packaging. The calculator automatically factors in TikTok Shop’s 6% commission and 2.18% + $0.30 transaction fee.
Get Instant Results
See your ROI percentage, ROAS ratio, and net profit after all costs. Use these insights to optimize campaigns, reallocate budgets, or adjust pricing strategies.
Why Use This TikTok Shop ROI Calculator?
Most TikTok Shop sellers track revenue but ignore true profitability. High ROAS doesn’t guarantee profit if your margins are thin. This calculator reveals the complete picture so you can make data-driven decisions about your advertising budget.
Track True Profitability
See your actual profit after all TikTok Shop fees, transaction costs, and product expenses. Revenue vanity metrics don’t pay the bills—profit does.
Optimize Ad Spend
Compare ROI across different campaigns, products, and time periods. Identify your most profitable advertising channels and double down on what works.
Make Better Pricing Decisions
Understanding your true cost per acquisition helps you set prices that maintain profitability even with aggressive advertising spending.
Scale Confidently
Know exactly which products and campaigns justify increased ad spend. Scale profitable winners and cut losers before they drain your budget.
ROI vs ROAS: What’s the Difference?
Many TikTok Shop sellers confuse ROI and ROAS, but they measure different things. Understanding both metrics is crucial for profitable advertising.
ROAS (Return on Ad Spend)
Revenue ÷ Ad Spend = ROAS. A 4:1 ROAS means $4 revenue per $1 ad spend. Measures advertising efficiency but ignores costs.
ROI (Return on Investment)
Net Profit ÷ Ad Spend = ROI. A 190% ROI means $1.90 profit per $1 ad spend. Measures true profitability after all costs.
Example: $1,000 ad spend generates $4,000 revenue (4:1 ROAS) but only $500 profit after costs (50% ROI). ROAS looks great, but ROI reveals the campaign barely broke even.
TikTok Shop ROI Benchmarks
Use these benchmarks to evaluate your TikTok Shop advertising performance. Remember, these vary by industry, product price, and competition level.
Poor Performance
ROI < 50%
ROAS < 2:1
Break-Even
ROI 50-100%
ROAS 2-3:1
Good Performance
ROI 100-200%
ROAS 3-4:1
Excellent Performance
ROI > 200%
ROAS > 4:1
5 Ways to Improve Your TikTok Shop ROI
1. Improve Product Margins
Negotiate better supplier prices or increase selling prices. Higher margins mean better ROI even with the same ROAS.
2. Optimize Ad Creative
Test different video formats, hooks, and CTAs. Better creative reduces cost per acquisition and improves ROI.
3. Target High-Intent Audiences
Focus on audiences with purchase intent rather than broad demographics. Higher conversion rates improve ROI.
4. Increase Average Order Value
Bundle products or offer upsells. Higher AOV spreads advertising costs across more revenue.
5. Focus on Profitable Campaigns
Pause underperforming campaigns and double down on winners. Reallocate budget to your highest ROI products.
Common TikTok Shop ROI Mistakes
Ignoring TikTok Shop Fees
Many sellers calculate ROI using revenue minus ad spend, forgetting TikTok’s 6% commission and 2.18% + $0.30 transaction fee. This leads to inflated profitability estimates.
Using Only ROAS
ROAS measures advertising efficiency but ignores profit margins. A 5:1 ROAS on a low-margin product might be less profitable than a 3:1 ROAS on a high-margin product.
Not Tracking All Costs
Include shipping, packaging, returns, and influencer fees in your calculations. Hidden costs can turn apparently profitable campaigns into money losers.
Short-Term Thinking
Focus on lifetime value, not just first-purchase ROI. Customers who return or buy multiple products justify lower initial ROI.
Ready to Optimize Your TikTok Shop ROI?
Don’t guess whether your TikTok advertising is profitable—measure it. This calculator is free, accurate, and gives you the insights needed to optimize your ad spend for maximum ROI.